October 12, 2021 Newsletter

Dear Friends,

Tangents:
October 12, 1999-World population reaches 6 billion.

On Oct. 12, 2000, the Navy destroyer Cole was attacked in an al-Qaeda suicide bombing while in port in Aden, Yemen, killing 17 sailors and injuring dozens more.  Go to article »

As Starbucks turns 50, believe it or not, it has changed our culture and also inspired a generation of rivals. — Virginia Postrel 

Neuroscientists are mapping all the brain cells.

Strange radio signals are coming from the galaxy center.

Hubble detects a dangerous galactic dance. 

Elon Musk trolled Jeff Bezos to let him know he’s richer than he is.   Billionaires … they’re just like us.

PHOTOS OF THE DAY

A jay is foraging around a small pool in autumn sunshine in mid Wales
CREDIT: PHILIP JONES / ALAMY LIVE NEWS

A waxing crescent moon is seen setting behind London’s central business district Canary Wharf late last night
CREDIT: RICK FINDLER / STORY PICTURE AGENCY

The moon passing over Salisbury Cathedral in Wiltshire last night
CREDIT: NICK BULL/ PICTUREEXCLUSIVE.COM

A cargo Boeing 777 of China Southern Airlines flying from Amsterdam to Shanghai is silhouetted against the Sun with a Sun spot, a result of solar activity, over the village of Podolye, 70km east of St. Petersburg, Russia
CREDIT: AP PHOTO/DMITRI LOVESKY
Market Closes for October 12^th, 2021

International Markets

Bonds

Currencies

Commodities

Market Commentary:
     On this day in 1990, the great bull market of the 1990s began, as the Dow Jones Industrial Average edged up 9.90 points to close at 2407.92. Stocks would more than quadruple over the next ten years.
Canada
By Kristine Owram
(Bloomberg) — Canadian stocks edged higher for a fifth session as gains in commodity stocks offset declines in most other sectors. The S&P/TSX Composite rose 0.1%, or 20.81 to 20,437.12 in Toronto. The index advanced to the highest closing level since Sept. 27. Today, energy and materials stocks led the market higher, as 4 of 11 sectors gained; 127 of 234 shares rose, while 103 fell. TC Energy Corp. contributed the most to the index gain, increasing 2.8%.  Denison Mines Corp. had the largest increase, rising 19.4%.
Insights
* This year, the index rose 17 percent, heading for the best year since 2019
* The index advanced 23 percent in the past 52 weeks. The MSCI AC Americas Index gained 24 percent in the same period
* The S&P/TSX Composite is 2.2 percent below its 52-week high on Sept. 7, 2021 and 32.5 percent above its low on Oct. 30, 2020
* The S&P/TSX Composite is up 1.9 percent in the past 5 days and fell 0.9 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.4 on a trailing basis and 16 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.6 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.22t
* 30-day price volatility fell to 9.70 percent compared with 9.71 percent in the previous session and the average of 8.47 percent over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Energy | 35.2356| 1.3| 10/11
* Materials | 34.8173| 1.5| 47/7
* Utilities | 10.0336| 1.1| 11/5
* Real Estate | 4.3884| 0.7| 21/3
* Health Care | -1.4002| -0.7| 2/7
* Industrials | -1.8238| -0.1| 16/14
* Consumer Staples | -4.2778| -0.6| 5/8
* Consumer Discretionary | -5.1987| -0.7| 3/10
* Communication Services | -7.1144| -0.7| 1/6
* Financials | -19.0363| -0.3| 7/21
* Information Technology | -24.8174| -1.1| 4/11
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
* TC Energy | 11.7600| 2.8| -5.7| 23.4
* Cameco | 10.7700| 14.7| 59.9| 78.8
* Enbridge | 7.1700| 1.0| 156.4| 28.0
* Bank of Montreal | -4.7210| -0.8| 39.2| 34.0
* TD Bank | -7.5840| -0.7| 44.4| 19.1
* Shopify | -20.7000| -1.5| -16.5| 17.6

US
By Rita Nazareth
(Bloomberg) — Stocks fell as investors awaited the start of the earnings season and a report that’s forecast to show consumer prices remained elevated. After the close of regular trading, Bloomberg News reported that Apple Inc. is likely to slash its projected iPhone 13 production targets for 2021 by as many as 10 million units because of prolonged chip shortages. Traders have been concerned that supply-chain snarls will sap corporate profits. Federal Reserve Bank of Atlanta President Raphael Bostic said the inflation surge is lasting longer than officials expected, so it’s not appropriate to refer to such rise as transitory. Vice Chair Richard Clarida noted that the conditions required to begin tapering the bond-buying program have “all but been met.” A key test of market confidence will be the start of the earnings season Wednesday. Quarterly guidance, which improved in the runup to the past four reporting periods, is now deteriorating. Analysts project profits at S&P 500 firms to climb 28% to $49 a share, according to data compiled by Bloomberg Intelligence.  That’s down from an eye-popping clip of 94% in the previous quarter, marking the onset of a slowdown that has historically signaled weakening returns for stocks.
“Earnings season is going to give us a really good clue of where we’re going on some of these supply issues,” Alicia Levine, head of equities and capital market advisory at BNY Mellon Wealth Management, told Bloomberg TV. “The two sectors we worry about are the industrials and retail, because that’s where the companies are not able to pass along price as easily.” The S&P 500 dropped for a third day. West Texas Intermediate held above $80 a barrel on speculation that a global energy crunch will continue to boost demand.  Treasury 10-year yields dropped, while the dollar was little changed. The International Monetary Fund warned of the risk of sudden and steep declines in global equity prices and home values as  global central banks withdraw the support they’ve provided during the pandemic.  For Karen Karniol-Tambour, co-chief investment officer for sustainability at Bridgewater Associates, most portfolios are insufficiently hedged for inflation. One of the easiest things investors can do is to “switch up their nominal bond holdings to inflation-linked bonds,” told Bloomberg TV. “It’s very simple. You’re literally going to get paid, whatever CPI is.”

Here are a few events to watch this week:
* U.S. FOMC minutes and CPI Wednesday
* China PPI, CPI Thursday
* U.S. initial jobless claims, PPI Thursday

Some of the main moves in markets:
Stocks
* The S&P 500 fell 0.2% as of 4 p.m. New York time
* The Nasdaq 100 fell 0.4%
* The Dow Jones Industrial Average fell 0.3%
* The MSCI World index fell 0.3%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro fell 0.2% to $1.1531
* The British pound was little changed at $1.3592
* The Japanese yen fell 0.3% to 113.63 per dollar
Bonds
* The yield on 10-year Treasuries declined five basis points to 1.57%
* Germany’s 10-year yield advanced three basis points to -0.09%
* Britain’s 10-year yield declined four basis points to 1.15%
Commodities
* West Texas Intermediate crude was little changed
* Gold futures rose 0.3% to $1,761.40 an ounce
–With assistance from Andreea Papuc, Cecile Gutscher and Julia Fanzeres.
Have a wonderful evening.

Be magnificent!

As ever,

Carolann

This existence of ours is as transient as autumn clouds.  To watch the birth and death of beings is like looking at the movements of a dance. 
A lifetime is a flash of lightning in the sky.  Rushing by like a torrent down a steep mountain. 
Conquer rage with humility, conquer evil with goodness, conquer greed with generosity, and conquer lies with truth. –Buddha, c.563 BC-483 BC.

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com